OSG wants pause on use of 2026 funds affected by SC budget ruling

MANILA, Philippines — Solicitor General Darlene Berberabe on Thursday advised the executive branch to defer the use of certain 2026 budget funds while awaiting the final ruling of the Supreme Court (SC).

“Our advice to DBM (Department of Budget and Management) and the executive branch would be to hold off on using the funds for now, since we expect the Supreme Court to resolve the matter soon,” Berberabe said at a Palace briefing.

In a statement, the OSG said it will seek clarification and partial reconsideration of certain portions of the High Court’s decision declaring provisions of the 2024, 2025, and 2026 national budgets unconstitutional.

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These parts include Special Provisions 1(a) and 1(b) under Chapter 43 of the 2026 General Appropriations Act (GAA).

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READ: SolGen to appeal SC ruling declaring 2024, 2025 budgets unconstitutional

While the OSG has yet to submit its appeal, Berberabe said she will recommend to the DBM and the executive branch the temporary postponement of the use of the affected funds.

She believes the final resolution from the magistrates will be immediately handed down upon the submission of the motion for reconsideration of the executive branch.

“We expect the Supreme Court to prioritize the matter because it also does not want the implementation of the remaining 2026 budget to be affected,” she told reporters.

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The OSG and the DBM have yet to discuss which specific programs might be affected if the SC denies the appeal.

“Unless the Supreme Court explicitly orders the government to stop a particular action, that is what we will suspend,” Berberabe said.

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“Our team should study which other provisions can still be implemented because they are not covered by the decision,” she noted.

“In other words, the executive branch is doing everything it can to minimize the impact of the ruling on the 2026 budget, particularly with regard to the restrictions imposed by the Supreme Court on the executive branch,” the solicitor general added.

READ: OSG to question SC’s ‘judicial overreach’ in budget ruling

Meanwhile, Berberabe said the proposed 2027 national budget has significantly lower unprogrammed appropriations than the 2026 budget.

Programmed appropriations are intended for priority projects with identified funding sources.

Unprogrammed appropriations serve as standby authority for projects that may be funded, if additional resources become available.

In a 121-page decision penned by Senior Associate Justice Marvic Leonen, the SC declared unconstitutional Congress’ increase of unprogrammed appropriations by P449.5 billion under Republic Act (RA) 11975, or the 2024 GAA.

The High Court also nullified the P17.9-billion increase in the Department of Public Works and Highways’ Special Road Fund under RA 12116, or the 2025 GAA.

The justices also voided the P12.7-billion increase in the Special Accounts in the General Fund of certain agencies under the 2026 GAA.

For her part, Palace Press Officer Claire Castro reiterated that President Ferdinand Marcos Jr. has no liability in the SC’s ruling.

“President Marcos Jr. wants to ensure that the government has sufficient funds for its programs in the interest of the public, along with adequate safeguards against corruption to prevent the abuse of public funds,” she said.

“They also mentioned that the decision did not address anyone’s liability,” Castro remarked.

“If there are grounds to hold anyone accountable, these should be brought before the appropriate forum or court,” she said.

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“The Supreme Court has yet to issue a ruling on this matter, while President Ferdinand R. Marcos Jr. has already taken steps to hold those responsible accountable,” she added. /apl